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ProRisk Mortgage and Finance Brokers Professional Indemnity Insurance Policy V01.16 of 23

Mortgage and Finance Brokers Professional Indemnity

Insurance Policy


Table of Contents Page

Important Information 3

Endorsements 6

Insuring Clause 9

Automatic Extensions 9

Exclusions 13

Claims Conditions 15

General Conditions 17

Definitions & Interpretations 20


IMPORTANT INFORMATION This Policy

This Policy is an important document. The Policy wording and Schedule together set out the cover provided, the amount insured and the terms and conditions of Your insurance. Please read it carefully and keep it in a safe place.

Your Insurance Broker has arranged this Policy for You. If You have any questions about Your cover, or You wish to contact ProRisk, please contact Your Insurance Broker for assistance.

Prorisk

ProRisk, Professional Risk Underwriting Pty Ltd ABN 80 103 953 073 AFSL 308076, is a coverholder for certain Underwriters at Lloyd’s. ProRisk has the authority to bind this Policy on their behalf.

Claims Made Policy

This Policy is issued by ProRisk on a Claims made and notified basis. This means that the Policy only covers Claims first made against You during the Insurance Period and notified to ProRisk in writing during the Insurance Period. The Policy does not provide cover for any Claims made against You during the Insurance Period if at any time prior to the commencement of the Insurance Period You were aware of facts which might give rise to those Claims being made against You.

Section 40(3) of the Insurance Contracts Act 1984 provides that where the insured gives notice in writing to the insurer during the Insurance Period of facts that might give rise to a Claim against the insured, the insurer cannot refuse to pay a Claim which arises out of those facts, by reason only that the Claim is made after the Insurance Period has expired.

Your Duty of Disclosure

Section 21 of the Insurance Contracts Act 1984 provides that before You enter into a contract of general insurance with an insurer, You have a duty to disclose to the insurer every matter that You know, or could reasonably be expected to know, is relevant to the insurer’s decision whether to accept the risk of the insurance and, if so, upon what terms. You have the same duty to disclose those matters to the insurer before You renew, extend, vary or reinstate a contract of general insurance.

Your duty, however, does not require disclosure of a matter: • That diminishes the risk to be undertaken by the insurer; • That is of common knowledge; • That Your insurer knows, or in the ordinary course of its business, ought to know; • As to which compliance with Your duty of disclosure is waived by the insurer.

Non-Disclosure

If You fail to comply with Your duty of disclosure, We may be entitled to reduce Our liability under the contract in respect of a Claim or We may cancel the contract. If Your non-disclosure is fraudulent, We may also have the option of avoiding the contract from its beginning.

Retroactive Liability

The Policy is limited by a Retroactive Date. The Policy does not cover any civil liability arising from Your conduct of the Professional Business prior to the Retroactive Date.

Alteration to Risk and Deregistration

The Policy requires You to notify us within thirty days of any material change in the nature of the Professional Business, or any act of insolvency or bankruptcy of the Insured. The Policy requires You to give immediate notice of the cancellation, suspension, termination or imposition of conditions in respect of the Insured’s statutory registration. Claims arising from conduct which occurs subsequent to the cancellation, suspension or termination of the Insured’s statutory registration, licence, certification or authorisation under any relevant legislation or industry code of practice governing Your profession are excluded from indemnity under the Policy.

Limited Liability

The Policy provides that if a payment greater than the Limit of Indemnity is required to dispose of a Claim, Our liability for costs and expenses will be limited to the proportion that the Limit of Indemnity bears to the payment required to dispose of the Claim.

Policy Cancellation

In the event of Policy cancellation by the Insured, ProRisk’s cancellation rates will apply.


Waiver of Rights of Subrogation

The Policy provides that You must not, without Our prior written consent, enter into any contract or agreement which excludes, limits or prejudices a right of recovery which You may have in respect of any Claim covered under this Policy. Further, You must not do anything or fail to do anything which excludes, limits or prejudices Our rights of subrogation.

Privacy Collection Statement

ProRisk is bound by the obligations of the Privacy Act 1988 (as amended) regarding the collection, use, disclosure and handling of personal information.

We collect personal information about You and about other individuals to enable Us to provide You with relevant products and services, to assess Your application for insurance and, if a contract is entered, to enable Us to provide, administer, and manage the Policy, and to investigate and handle any claims under the Policy. We may disclose personal information We collect to third parties (who may be located in the United Kingdom and other countries outside Australia). These include the insurer, lawyers, claims adjusters, and others appointed by ProRisk to assist Us in providing relevant products and services. We may also disclose Your information to people listed as co-insured on the Policy and to Your agents. By providing Your personal information to Us, You consent to Us making these disclosures.

If You do not provide all or part of the information required, We may not be able to provide You with Our products and services, consider Your application for insurance, administer the Policy, assess or handle claims under the Policy. Your Duty of Disclosure may require You to provide personal information to Us.

When You provide Us with personal information about other individuals, We rely upon You to have made them aware of that disclosure, and to ensure that they are aware of the matters set out in this ProRisk Privacy Statement and ProRisk's Privacy Policy and have consented to the disclosure.

Further information about ProRisk's collection, use, disclosure and handling of personal information is set out in its Privacy Policy, available on its website at www.prorisk.com.au To obtain a hard copy of our Privacy Policy or to request access to or correction of or to update personal information, contact the Privacy Officer at ProRisk by email: [email protected] or by mail at the address shown on the Policy.

General Insurance Code of Practice

ProRisk and Underwriters at Lloyd’s proudly support the General Insurance Code of Practice. The purpose of the Code is to raise standards of practice and service in the general insurance industry. A copy of the Code can be obtained from www.codeofpractice.com.au.

This Policy and the Schedule are Insurance Council of Australia’s General Insurance Code of Practice compliant, apart from any Claims adjusted outside Australia.

Complaints Handling

Any enquiry or complaint relating to this insurance should be referred to ProRisk in the first instance. We have a complaints handling and internal dispute resolution process to assist You, and information about Our complaints handling procedures is available upon request. If this does not resolve the matter or You are not satisfied with the way a complaint has been dealt with, You should write to:

Lloyd’s Underwriters’ General Representative in Australia

Suite 2, Level 21

Angel Place

123 Pitt Street

Sydney NSW 2000

Telephone Number: (02) 9233 1433

Facsimile Number: (02) 9233 1466

who will refer Your dispute to the Complaint’s Department at Lloyd’s.

Complaints that cannot be resolved by the Complaints Department may be referred to the Financial Ombudsman Service Limited, GPO Box 3, Melbourne, Vic 3001. Further details will be provided at the appropriate stage of the complaints process.

http://www.codeofpractice.com.au/


Definitions

Apart from in the various headings, words appearing in bold type in the Policy have specific meanings attached to them, such as “You” and “Us”. When reading the Policy please make sure that You refer to the various definitions to ensure that You understand what is being said.


Endorsements Attaching to the Policy:

Aggregator’s Vicarious Cover Extension By way of endorsement to the Policy, the parties agree as follows (subject otherwise to all other terms, conditions, limits of liability and exclusions of the Policy):

(a) In the event that an indemnity is provided to the Insured under this Policy in respect of a covered Claim, We also agree, subject always to all other terms, exclusions and conditions of this Policy, to indemnify the insured’s Aggregator solely in respect of and to the extent of the Aggregator’s vicarious liability for any Loss arising from such Claim but only where the breach of professional duty giving rise to the civil liability of the Insured has arisen while such Insured is acting within the scope of the Aggregator’s contractor agreement and/or franchise agreement.

(b) This extension does not make the insured’s Aggregator an Insured.

(c) Nothing in this Extension increase the Limits of Liability specified in the Schedule.

In all other respects the Policy remains unaltered.

Cyber Liability Endorsement

The following definitions are applicable to this Endorsement only: 1. Computer System means Your own computer network, including any third party software programs and

portable media/computer devices. 2. Hacker means anyone who specifically targets You and gains access to the Your Website via the internet or

other external electronic link, solely by electronically circumventing the security systems in place to protect against such access.

3. Programme means a set of instructions written in a computer language that tells a computer how to process data or interact with ancillary equipment.

4. Virus means Programmes that are secretly introduced without Your permission or knowledge including but not limited to malware, worms, trojans, rootkits, spyware, dishonest adware, crimeware and other malicious unwanted software.

5. Website means any website(s) where You have full control over the content and which You operate for the promotion of the Your own Business.

It is hereby understood and agreed that We will indemnify You for amounts You become liable to pay as compensation if during the Period of Insurance and as a result of Your Business, any party brings a Claim against You arising from: (a) the content of the Your email, intranet, or Website including alterations or additions made by a Hacker due

to: i. Your unintentional infringement of any intellectual property rights, including any copyright,

trademark, passing off; ii. any defamatory statement on Your Website or in the Your email, concerning Your client or

business competitor; iii. Your unintentional breach of confidence or infringement of any right to privacy;

(b) Your negligent transmission of a computer Virus, worm, logic bomb or trojan horse to anyone with whom You transact business with, or who uses Your Website in the course of their business;

(c) Your unauthorised collection or misuse of any data concerning any customer or potential customer of Yours which is either confidential or subject to statutory restrictions on its use and which You obtained through the internet or Website and hold electronically.

First Party Hacker Damage

We will pay the reasonable and necessary costs and expenses that You incur with Our prior written consent if, during the Period of Insurance, a Hacker damages, destroys or alters the Your Website or Computer System. Such costs and expenses are to be payable to repair or replace the affected part of the Website or Computer System to the same or equivalent standard and with the same contents or as near as reasonably possible as immediately before such Website or Computer System was damaged, destroyed or altered.


Continuous Cover

Automatic Extension 2.9 Continuous Cover shall not be available under this Endorsement.

Exclusions

We will not cover You for any Claim arising directly or indirectly out of or in connection with: 1. any Virus, worm, logic bomb or trojan horse written or created by any failure by any equipment including any

hardware or software to correctly recognise any given date or to process any data or to operate properly due to any failure to correctly recognise any given date;

2. any self replicating or malicious code that was not specifically targeted to any failure by any equipment including any hardware or software to correctly recognise any given date or to process any data or to operate properly due to any failure to correctly recognise any given date system;

3. the infringement of any patent; 4. the use or provision of any games, or any gaming, gambling, lottery or auctioneering facilities or services; 5. the failure or interruption of the service provider by an internet service provider or any telecommunications or

other utility provider; 6. any pornographic, sexually explicit or obscene material unless arising directly from the activities of a Hacker; 7. Your liability under any contract which is greater than the liability that You would have at law without the

contract; 8. Your supply, manufacture, sale, installation or maintenance of any product; 9. any statement that You knew or ought reasonably to have known was defamatory at the time of publication; 10. any failure by any equipment including any hardware or software to correctly recognise any given date or to

process any data or to operate properly due to any failure to correctly recognise any given date; 11. any trading loss or trading liability including those arising from the loss of any client, account or business; 12. any liability arising from any user generated content; 13. any claim, including arbitration, brought outside Australia or New Zealand. This applies to proceedings in the

applicable courts to enforce, or which are based on, a judgment or award from outside the applicable courts; 14. fines and contractual penalties, punitive or exemplary damages; 15. any act, breach, omission or infringement that You deliberately, dishonestly or recklessly committed,

condoned or ignored; 16. any prior pending litigation, known Claims or Known Circumstances.

We will not make any payment under this Endorsement if You have failed to: 1. take reasonable steps to use, maintain and upgrade any program which protects against computer viruses or

any unauthorised use of or access to Your Computer System, electronic link or Website; and/or 2. make backup copies of any data, file or program at reasonably frequent intervals of no less than weekly

basis; and/or 3. cancel any user name, password or other security protection after You knew or had reasonable grounds to

suspect that it had been made available to any unauthorised person or parties.

Limit of Liability

The cover provided under this Endorsement is limited to $25,000 any one Claim and in the aggregate inclusive of defence costs which shall be part of and not in addition to the Limit of Liability stated in the Schedule. A separate deductible of $1,000 inclusive of costs will apply under this Endorsement.

In all other respects the Policy remains unaltered. Free Legal Consultation

The following is inserted into the Policy:

During the Period of Insurance You are entitled to up to 60 minutes of free legal advice from Our appointed legal firm on any matter relating to Your Professional Services subject always to the following:

1. The Schedule must be presented to the appointed legal firm when requesting legal advice under this

Endorsement. If the Schedule is not presented then no legal advice can be sought under this section; 2. Entitlement to legal advice is limited to a maximum of 30 minutes per year and any unused hours or part

thereof cannot be aggregated from one Period of Insurance to another; 3. We reserve the right to change the appointed legal firm at any time. Changes to the appointed firms will be

notified to You on request; 4. You may not seek legal advice on this Policy or other indemnity issues concerning insurance policies issued

by Us;


5. If cover under this Policy is sought by You in respect of any matter on which You have sought legal advice under this Endorsement from the appointed legal firm, You authorise Us (at Our discretion) to engage the appointed legal firm to represent You and authorise the appointed firm when engaged to disclose to Us any information obtained in the course of tendering advice to You. To the extent necessary, You waive all claims to legal professional privilege with Us;

6. Contacting the appointed legal firm for free legal advice does not constitute a Claim notification under Clause 6.4 of the Policy. You must still comply with the Policy terms and conditions in relation to a Claim and give immediate written notice or written notice as soon as practically possible to Us within the Period of Insurance.


Compensation for Court Attendance We will pay You compensation if legal advisers, acting on Your behalf with Our consent, require any Principal or Employee to attend court as a witness in connection with a Claim covered under this Policy first made and notified to Us during the Period of Insurance, but only in circumstances where You actually pay the Principal or Employee for their time. The cover provided for this endorsement will be Up to $250 per person per day and up to $10,000 per claim. In all other respects the Policy remains unaltered.

Fidelity Extension Sub-Limit $50,000

We will cover You for any loss of money, negotiable instruments, stamps, bearer bonds or coupons, bank or currency notes belonging to You or for which You are legally liable where such loss is sustained in consequence of any Fraudulent Act, provided that:

1. such loss is discovered by You during the Period of Insurance and is notified in writing to Us within the Period of Insurance and within twenty-eight days of the date of discovery;

2. there is no cover for any further losses suffered by You after You have become aware of any loss or any Fraudulent Act, or the date upon which a reasonable person would have had cause for suspicion of any loss or any Fraudulent Act;

3. You shall, at Your own cost and expense, provide such documentation and information as is, in Our opinion, necessary to substantiate the existence of and the amount of any such loss;

4. a series of related, repeated or continuous Fraudulent Acts of any one Employee or group of Employees acting in collusion shall be treated as giving rise to a single loss for the purpose of applying the Excess for this Extension.

5. this Extension shall not increase the Limit of Liability;

6. cover under this Extension is subject to a sub-limit of $50,000 in the aggregate for the Period of Insurance. For the purpose of this Endorsement the term Fraudulent Act(s) means any dishonest, wrongful, deceptive, criminal, malicious or unauthorised act or omission committed by an Employee.



In consideration of the payment of the premium and in reliance upon all statements made and information provided to Us, including statements made in the Proposal and materials accompanying it, which it is agreed shall form the basis of this insurance, and subject to all the terms and conditions of this Policy, We agree as follows:

1. Insuring Clause

1.1 Cover

We shall pay to or on behalf of the Insured any Loss arising from any Claim for civil liability in respect of the conduct of the Professional Services, provided that such Claim is first made against the Insured during the Period of Insurance.

2. Automatic Extensions

Each of the following Extensions automatically applies unless otherwise stated in the endorsements. Each of the Extensions is subject to the Insuring Clause and all other terms, exclusions and conditions of this Policy unless otherwise stated in this Clause 2. None of these Extensions increase the Limits of Liability specified in the Schedule.

2.1 Automatic Reinstatement

In the event that the aggregate Limit of Liability, as specified in the Schedule and referred to in Clause 6.1 (Limit of Liability) of this Policy, is exhausted by the payment of Loss and Legal Representation Expenses, We agree that such Limit of Liability shall be automatically reinstated subject to the following:

(a) the number of automatic reinstatements possible under this Extension 2.1 is limited to two only; and

(b) such reinstatement shall be limited in total to an amount equal to the aggregate Limit of Liability shown in the Schedule; and

(c) such reinstatement shall only apply after the total limit of liability available under the applicable policies in excess of this insurance are exhausted by the payment of Loss and Legal Representation Expenses; and

(d) notwithstanding such reinstatement, this Policy shall be subject to the each Claim limit of liability as set out in the Schedule and any sub-limit of liability including the sub limit for Legal Representation Expenses in Extension 2.10; and

(e) Our maximum aggregate Limit of Liability under this Policy for all Loss arising from all Claims and all Legal Representation Expenses arising from all Investigations, whether against one or any number of Insureds, shall never exceed three times the amount in the Schedule; and

(f) the limit so reinstated shall not apply in relation to any Claim or Investigation which is related or attributable to the one source or originating or underlying cause as any matter which has contributed to the exhaustion.

2.2 Consultants, Contractors, Subcontractors and Agents Vicarious Liability

We agree to extend cover to any Loss arising from a Claim for civil liability against the Insured arising from any acts, errors or omissions of any consultant, contractor, subcontractor or agent of the Insured for which the Insured is legally liable by reason of the conduct of the Professional Services.

This Extension 2.2 neither affords coverage to any consultant, contractor, subcontractor or agent of the Insured nor makes any such person or entity an Insured.

2.3 Defamation

We agree to extend cover to any Loss arising from a Claim for civil liability for unintentional defamation by the Insured in the conduct of the Professional Services.

We shall not be liable to make any payment under this Policy for intentional defamation.


2.4 Intellectual Property Infringement

Notwithstanding Exclusion 3.21 (Intellectual Property), We agree to extend cover to any Loss arising from a Claim for civil liability for unintentional infringement by the Insured of any Intellectual Property right, except any actual or alleged patent right, in the conduct of the Professional Services.

We shall not be liable to make any payment under this Policy for intentional infringement of any Intellectual Property right.

2.5 Joint Venture Liability

We agree to extend cover to any Loss arising from a Claim against the Insured for civil liability arising from the Insured’s participation in any Joint Venture in the conduct of the Professional Services.

Any indemnity afforded under this Extension 2.5 shall be limited to the Insured’s proportion of any liability incurred by such Joint Venture.

This Extension 2.5 neither affords coverage to any person or entity with whom or which the Insured is in a Joint Venture nor makes any such person or entity an Insured.

2.6 Loss of Documents

We agree to extend cover to any Loss arising from a Claim for loss of or damage to or destruction of those Documents for which the Insured is legally responsible in the conduct of the Professional Services provided that such loss, damage or destruction is first discovered and reported to Us during the Period of Insurance and, in the case of loss of Documents, which cannot be found after diligent search.

The cover provided by this extension will not apply to pay that part of any Loss arising from a Claim which:

(a) exceeds the reasonable and necessary costs, charges and expenses in replacing or restoring the Documents; and/or

(b) comprises costs, charges or expenses directly or indirectly relating to any Documents which have been destroyed, damaged or lost as a result of wear, tear or other gradually operating causes or Computer Virus.

Our total liability under this Extension 2.6 shall not exceed the sub-limit specified in the Schedule.

The cover provided by this Extension 2.6 applies regardless of the Retroactive Date.

Notwithstanding Condition 5.2 of this Policy the Excess does not apply to this Extension 2.6.

2.7 Newly Acquired or Created Subsidiaries

We agree to extend cover to any Subsidiary of the Firm which is acquired or created during the Period of Insurance, provided that such Subsidiary:

(a) increases the Firm’s total gross fees or revenue by no greater than 20% based on the fees and/or revenue as disclosed by the Firm as its last 12 months fees and/or revenue in the most recent Proposal; and

(b) conducts and / or provides the same Business; and

(c) is not domiciled and/or incorporated in the United States of America or Dominion of Canada.

Any Subsidiary acquired or created during the Period of Insurance and which falls within 2.7(b) but which does not fall within the requirements of 2.7(a) and/or 2.7(c) above shall automatically be covered under this Policy for a period of 30 days from the date of acquisition or creation of the Subsidiary but not beyond that. Subject to Our written agreement and subject to any additional premium, terms, exclusions and conditions as We may require, cover under this Policy may be extended to a Subsidiary which falls within 2.7(b) but which does not fall within the requirements of 2.7(a) and/or 2.7(c) above beyond 30 days from the date of acquisition or creation.

This Extension 2.7 shall not provide coverage in respect of any Claim or Investigation against the Subsidiary arising from the conduct of any Professional Services provided or required to be provided before the Firm acquires or creates such Subsidiary.

2.8 Run Off Cover for Insured Entity

In the event that a Firm is merged into or acquired by another entity or otherwise ceases to exist or operate or is subject to an Insolvency Event during the Period of Insurance, the coverage provided under the Policy for such Firm shall continue until the end of the Period of Insurance, provided that such coverage shall only apply in respect of a Claim that arises from the conduct of its Professional Services


prior to the date the Firm ceased to exist or operate, was merged into or acquired by another entity or became the subject of an Insolvency Event.

2.9 Continuous Cover

Notwithstanding Exclusion 3.15(c) (Prior Matters) this Policy extends to cover the Insured for Loss arising from any Circumstance which could have been first notified to ACE Insurance Limited or Us under an earlier Professional Indemnity Insurance policy issued by ACE Insurance Limited or Us, as applicable, and which is notified during the Period of Insurance, provided that:

(a) the Insured has maintained with Us or ACE Insurance Limited and without interruption, professional indemnity insurance from the date the Circumstance could and should have been first notified to Us or ACE Insurance Limited, as applicable up until the date this Policy commenced; and

(b) the failure of the Insured to disclose the Circumstance before the commencement of the Period of Insurance was not a result of any fraudulent intention to mislead or misrepresent to Us or ACE Insurance Limited, as applicable; and

(c) the Insured's entitlement to an indemnity will be determined in accordance with the terms and conditions of the policy held by the Insured with Us or ACE Insurance Limited on the date when the Insured first became aware of the Circumstance provided that Our Limit of Liability will be the lower of the one available under:

(i) the policy held by the Insured with Us or ACE Insurance Limited, as applicable, when the Insured first became aware of the Circumstance; or

(ii) this Policy; and

(d) the Insured's entitlement to an indemnity will be reduced by the amount that, in Our reasonable opinion fairly represents the extent to which Our interests were prejudiced by the failure to notify Us or ACE Insurance Limited of the Circumstance; and

(e) This Extension 2.9 does not apply to and is subject to Exclusion 3.15(a) and (b) (Prior Matters).

2.10 Legal Representation at Investigations

We agree to pay on behalf of any Insured its Legal Representation Expenses at any Investigation first commenced against the Insured during the Period of Insurance.

Notwithstanding Condition 5.2 of this Policy the Excess does not apply to this Extension 2.10.

2.11 Emergency Defence Costs and Legal Representation Expenses

If it is not possible for the Insured to obtain Our’ written consent prior to the incurring of Defence Costs or Legal Representation Expenses, We will give retrospective consent as long as Our consent is sought within 30 days of such Defence Costs or Legal Representation Expenses being incurred.

Our liability under this Extension 2.11 in respect of Defence Costs incurred for each Claim and Legal Representation Expenses incurred for each Investigation shall not exceed 10% of the Limit of Liability specified in the Schedule or 10% of the sub-limit of liability specified in the Schedule respectively. For the avoidance of doubt, Our total liability under this Extension 2.11 in respect of all Defence Costs incurred for all Claims and all Legal Representation Expenses incurred for all Investigations shall not exceed the limit of liability specified in the Schedule or the sub-limit of liability specified in the Schedule respectively.

2.12 Advancement of Defence Costs and Legal Representation Expenses

We shall advance any covered Defence Costs and Legal Representation Expenses as provided under this Policy within 30 days of receipt and approval of an invoice for such Defence Costs or Legal Representation Expenses.

2.13 Discovery Period

If We or the Insured do not renew this Policy, We shall extend the cover under this Policy for a discovery period of 45 days at nil additional premium which shall run from the date this Policy is not renewed. This Extension does not apply if there is a fraudulent claim under the Policy by or on behalf of the Insured.

The discovery period shall only apply to a Claim first made or an Investigation first commenced against the Insured before or during such 45-day discovery period, but only in respect of conduct of the Professional Services prior to the non-renewal of this Policy,


We shall not be liable to make any payment in respect of any Claim first made or Investigation first commenced against the Insured during the discovery period if at any time the Insured obtains any other professional indemnity insurance covering in whole or in part the discovery period.

2.14 Fraud & Dishonesty

Notwithstanding Exclusion 3.7 (a) and 3.7 (b) (Fraud, Dishonesty & Intentional Conduct) of this Policy, We agree to extend cover to any Loss arising from a Claim against the Insured arising from a dishonest or fraudulent act or omission or any malicious, criminal or intentional breach of law of any Principal (other than a sole practitioner) or Employee of the Firm in the conduct of the Professional Services, provided that coverage under this Extension 2.14 shall not be provided to any Insured committing, participating in or condoning such dishonest or fraudulent act or omission or malicious, criminal or intentional breach of law.

2.15 Competition & Consumer Act 2010

We shall pay on behalf of the Insured any Loss arising from any Claim for civil liability under the Consumer & Competition Act 2010 (Cth), the Trade Practices Act 1974 (Cth) or any Fair Trading Acts enacted by the States or Territories of Australia, in the conduct of the Professional Services provided that such Claim:

(a) arises from an act, error or omission of the Insured occurring on or after the Retroactive Date; and

(b) does not involve any liability under the penal or criminal provisions of those Acts.

2.16 Civil Compensatory Orders

We agree to extend Loss arising from a Claim, to include any civil compensatory order (not being an award of damages) that results from a contravention of any penalty provision of a statute or legislative provision provided that:

(a) the cover provided by this Extension 2.16 will not apply to any civil compensatory order directly or indirectly caused by, arising out of or in any way connected with any legislative contravention which is based upon wilful misconduct; and

(b) Our total liability under this Extension 2.16 shall be $250,000 in the aggregate.

2.17 84 Months Run-off

In the event that the Insured ceases to conduct the Professional Services during the Period of Insurance the coverage provided under this Policy for such Insured shall be extended for eighty four (84) months from the date that the Insured ceases to conduct the Professional Services, provided that such coverage shall only apply in respect of a Claim that:

(a) is first made against an Insured during the eighty four (84) month extension referred to above and which is notified to Us during the eighty four (84) month extension referred to above; and

(b) arises from an act, error or omission by an Insured occurring between:

(i) the Retroactive Date; and

(ii) the date the Insured ceased to perform the Professional Services.

This Extension 2.17 shall not apply if such Insured has:

(a) failed to provide written notice with details as to the fact that the Insured has ceased to conduct the Professional Services and the date of such cessation to Our agent, Insurance House;

(b) cancelled the Policy during the Period of Insurance;

(c) placed its professional indemnity insurance with another insurer;

(d) at any time prior to the commencement of the 84 month extension, notified Us of any Claim or Circumstances; or

(e) an outstanding disciplinary matter or at any time been the subject of disciplinary penalty by any regulatory body or membership association.


2.18 Australian Securities & Investment Commission (ASIC) Approved External Dispute Resolution Body

We shall pay on behalf of the Insured any Loss arising from any complaint to any ASIC approved External Dispute Resolution Body both first made against the Insured during the Period of Insurance and notified to Us during the Period of Insurance subject to a maximum liability of $309,000 per covered loss.

3. Exclusions

We shall not be liable for any Loss arising from any Claim, Legal Representation Expenses arising from any Investigation or any other payment under this Policy:

3.1 Assumed Liabilities & Duties

directly or indirectly caused by, arising out of or in any way connected with any actual or alleged liability assumed under any contract, agreement or understanding except to the extent that such liability would have attached to the Insured in the absence of such contract, agreement or understanding.

3.2 Failure of Counterparty

directly or indirectly caused by, arising out of or in any way connected with the insolvency, bankruptcy, liquidation, receivership or administration of, or the failure to pay or suspension of payment by, any bank or banking firm, insurance company, investment company, investment banker or any broker or dealer in securities or commodities, or other persons or organisations of a similar nature.

3.3 Failure to Disclose Commissions

directly or indirectly caused by, arising out of or in any way connected with any failure by the Insured or any representative of the Insured to disclose to clients any commissions, fees and /or other benefits received in connection with making a recommendation.

3.4 Failure to Hold or Maintain a Licence

directly or indirectly caused by, arising out of or in any way connected with any failure by any Insured to hold or to continue to hold any authorisation, licence or approval required by law.

3.5 Financial Failure & Trading Debts

directly or indirectly caused by, arising out of or in any way connected with any debt of an Insured or any guarantee or other undertaking or obligation given by an Insured for a debt.

3.6 Financial Planning Advice

directly or indirectly caused by, arising out of or in any way connected with the rendering of services in connection with any financial planning business and the provision of advice in connection with such services or financial products.

3.7 Fraud, Dishonesty & Intentional Conduct

directly or indirectly caused by, arising out of or in any way connected with any Insured committing or condoning or allegedly committing or condoning any:

(a) dishonest or fraudulent act or omission; or

(b) any malicious, criminal or intentional breach of the law; or

(c) cartel or other anti-competitive conduct, or gaining any profit or advantage to which the Insured is not legally entitled.

3.8 Insurance Intermediaries

directly or indirectly caused by, arising out of or in any way connected with the rendering of professional services of or in connection with any insurance broker or insurance agency business including but not limited to the negotiation of insurance contracts, the collection or remittance of premiums, the rendering of loss control services, or the provision of advice by the Insured in connection with such services.

This exclusion does not apply with respect to:

(a) the provision of mortgage insurance through an insurance agency business; or


(b) the identification and referring by the Insured to third party insurance provider

3.9 Loss of Money

directly or indirectly caused by, arising out of or in any way connected with Loss of Money.

3.10 Managerial Liability

directly or indirectly caused by, arising out of or in any way connected with any actual or alleged breach by an Insured of a duty owed in the capacity of a director, secretary, trustee or officer.

3.11 Margin Lending Advice

directly or indirectly caused by, arising out of or in any way connected with any representation or advice provided by the Insured or any other person for whose acts the Insured is legally responsible with regard to margin lending and/or margin lending products.

3.12 Owners or Occupiers Liability

directly or indirectly caused by, arising out of or in any way connected with:

(a) the ownership, management, control or occupation of real property by or on behalf of the Insured; or

(b) the ownership, maintenance, operation, possession, use, loading or unloading by or on behalf of the Insured of any watercraft, aircraft, motor vehicle or trailer.

3.13 Obligations to Employees

directly or indirectly caused by, arising out of or in any way connected with any breach of any obligation owed to any Employee arising out of or in the course of that Employee’s employment by the Firm.

3.14 Pollution

directly or indirectly caused by, arising out of or in any way connected with Pollution or Pollutants in whatever form or quantity.

3.15 Prior Matters

directly or indirectly caused by, arising out of or in any way connected with any:

(a) Claim first made or Investigation first commenced before the Period of Insurance or which is a Claim first made or Investigation first commenced before the Period of Insurance; or

(b) matter notified in whole or in part to Insurers or any other insurer before the Period of Insurance; or

(c) Circumstance which was known to or ought reasonably to have been known to the Insured prior to the commencement of the Period of Insurance.

3.16 Products Liability

directly or indirectly caused by, arising out of or in any way connected with any goods manufactured, distributed, supplied, installed, treated, assembled or processed by or on behalf of any Insured.

3.17 Property Valuation

directly or indirectly caused by, arising out of or in any way connected with any property valuation conducted by, arranged by or obtained by the Insured or any other person for whose acts the Insured is legally responsible.

3.18 Real Estate Agents

directly or indirectly caused by, arising out of or in any way connected with the rendering or failure to render professional services in connection with any real estate agency or auctioneer business conducted by the Insured, including but not limited to the purchase, sale, rental, leasing or valuation of real property or the provision of advice in connection with such services.

3.19 Related Persons & Entities

brought or maintained by or on behalf of:


(a) any Insured or parent company of any Insured; or

(b) any entity within the same group of companies as the Insured; or

(c) any person or entity who, at the time of the act, error or omission giving rise to the Claim is a Relative of any Insured or controlled by a Relative of any Insured.

3.20 War & Terrorism

directly or indirectly caused by, arising out of or in any way connected with or in consequence of:

(a) war, invasion, acts of foreign enemies, hostilities (whether war be declared or not), civil war, rebellion, revolution, insurrection, military or usurped power or confiscation or nationalisation or requisition or destruction of or damage to property by or under the order of any government, public or local authority; or

(b) any Act of Terrorism regardless of any other cause or event contributing concurrently or in any other sequence to the loss.

3.21 Intellectual Property

directly or indirectly caused by, arising out of or in any way connected with the actual or alleged infringement of any Intellectual Property right.

4. Claims Conditions

4.1 Notification of Claims and Investigations

(a) The Insured must give written notice of any Claim or Investigation to Us as soon as practicable, but always no later than 90 days after the expiry of the Period of Insurance, or 30 days after the expiration of the Discovery Period provided under Extension 2.13 (Discovery Period), if applicable, whichever is the later, to:

Professional Risk Underwriting Pty Ltd Level 3, 100 Wellington Parade East Melbourne VIC 3002

(b) All notifications under this Policy must include the following information:

(i) a specific description of the demand or assertion comprising the Claim or Investigation, including the date when and manner in which the Insured first became aware of the matter; and

(ii) the details of any parties involved; and

(iii) a copy of any written demand or assertion and any document relating to the commencement of proceedings against the Insured once available.


4.2 Conduct of Proceedings

(a) It is the duty of the Insured, not Insurers, to defend any Claim made against, or arrange representation at an Investigation involving, an Insured. We, however, may take over and conduct (in the name of any Insured) the defence of any Claim or Investigation in respect of which We are or may be liable to indemnify such Insured.

(b) An Insured must not incur any Defence Costs or Legal Representation Expenses without Our prior written consent, which shall not be unreasonably withheld. Save as provided for in Extension 2.11 (Emergency Defence Costs and Legal Representation Expenses) of this Policy, We are not liable to indemnify any Insured for any Defence Costs or Legal Representation Expenses unless We provide their prior written consent to the incurring of such Defence Costs or Legal Representation Expenses.

(c) An Insured must not settle or make any admission, offer, payment or otherwise assume any contractual or other obligation in relation to any Claim or Investigation in respect of which We are, or may be, liable to indemnify any Insured, without Our prior written consent which must not be unreasonably withheld. We are not liable to indemnify any Insured for any settlement, admission, offer, payment or assumed obligation unless We provide their prior written consent which must not be unreasonably withheld.

4.3 Multiple Claims and Related Conduct

For the purpose of determining cover under this Policy, all Claims and/or Investigations arising or resulting from or connected to:

(a) one act, error or omission; or

(b) acts, errors or omissions which are the same or are attributable to the one source or originating or underlying cause

shall be regarded as one Claim and/or Investigation.

4.4 Mitigation and Co-operation

(a) The Insured must at its own expense take all reasonable steps and precautions in doing all things reasonably practicable to avoid or minimise any actual or potential Loss arising from any actual or possible Claim and to avoid or minimise any actual or potential Legal Representation Expenses arising from any actual or possible Investigation under this Policy.

(b) Each Insured must, at its own expense and on an ongoing basis, give Us and any investigators or legal representatives appointed by Us all information they reasonably require, and full co-operation and assistance in the conduct of any investigation (including investigations for the purpose of enabling Us to determine its liability to provide an indemnity under this Policy), defence, settlement, avoidance or reduction of any actual or possible Claim or Investigation or any proceedings.

4.5 Disclosure of Information

Legal representatives appointed by Us to act on an Insured’s behalf shall be entitled to disclose to Us any information obtained while so acting. We will keep all such information confidential and do everything reasonable to maintain common interest privilege in such information..


4.6 Disputes as to Defence & Settlement of Claims

(a) If a dispute arises between Us and an Insured as to whether a Claim should be contested, neither Us nor the Insured will require the other to contest the Claim unless a Senior Counsel (to be mutually agreed) recommends that the Claim should be contested. In the event of a dispute regarding the identity of the Senior Counsel the person shall be chosen by the President of the Law Society of NSW. We will brief the Senior Counsel to advise, as an expert, on whether or not the Claim should be contested and if not, on the amount for which the Claim should be settled. In providing such advice and in making any recommendation as to settlement, the Senior Counsel is entitled to take into account both legal and commercial considerations. The Senior Counsel must have regard to the damages and costs that are likely to be recovered, the Defence Costs that will be incurred in contesting the Claim and the prospects of the Claim being successfully defended. The costs of obtaining this recommendation will be paid by Us.

(b) If the Senior Counsel recommends that settlement of the Claim should be attempted, then settlement of the Claim must be attempted as recommended.

(c) Where settlement is attempted in accordance with the Senior Counsel’s recommendation but is unsuccessful, We will continue to indemnify the Insured subject to the terms and conditions of this Policy.

(d) If a settlement recommended by the Senior Counsel is acceptable to the claimant, but the Insured refuses to consent to such settlement, Our liability will be limited to the amount for which the Claim could have been settled, plus the Defence Costs or Legal Representation Expenses incurred up to the date the refusal to consent was made.

4.7 Subrogation

If any payment is made by Us in respect of a Claim or Investigation under this Policy, We will be subrogated to all rights of indemnity, contribution or recovery of the Insured in relation to that payment in proportion to their respective indemnity proportions. No Insured may surrender any right, or settle any claim for indemnity, contribution or recovery, without Our prior written consent.

We will not exercise their rights of recovery under this Clause 4.7 against another natural person Insured, except where that Insured has committed, participated in or condoned a dishonest, fraudulent, malicious or criminal act or omission or where such natural person Insured is entitled to an indemnity in respect of any Claim or Investigation under any other insurance effected by him or on his behalf, but only to the extent of the indemnity granted by such other insurance policy.

We will not exercise their rights of recovery under this Clause 4.7 against the Insured’s Aggregator except where that party has committed, participated in or condoned a dishonest, fraudulent, malicious or criminal act or omission.

5. General Conditions

5.1 Limit of Liability

(a) The aggregate limit of Our liability for all Loss arising from any one Claim is the sum specified in the Schedule.

(b) Any sub-limit specified in this Policy shall be Our maximum aggregate liability under such sub-limit irrespective of the number of Claims or Investigations, the amount claimed or the number of Insureds who make a claim under this Policy. Any sub-limit shall be part of and not in addition to the sum specified in the Schedule

Our maximum aggregate liability under this Policy for all Loss arising from all Claims and all Legal Representation Expenses arising from all Investigations, irrespective of the number of Claims or Investigations under this Policy, the amount claimed or the number of Insureds who make claims, is the sum specified in the Schedule.

5.2 Excess

The Insured shall pay the first amount of each and every Loss arising from any one Claim, up to the amount specified in the Schedule as the Excess.


5.3 Territorial Limits

To the extent permitted by law, coverage extends to anywhere in the world except for any Loss and/or Legal Representation Expenses resulting from the conduct of Professional Services which occurred within the territorial limits of the United States of America or the Dominion of Canada and their territories or protectorates.

No Insurer shall be deemed to provide cover and no Insurer shall be liable to pay any Claim or provide any benefit hereunder to the extent that the provision of such cover, payment of such Claim or provision of such benefit would expose that Insurer to any sanction, prohibition or restriction under United Nations resolutions or the trade or economic sanctions, laws or regulations of the European Union, United Kingdom, Australia or United States of America.

5.4 Jurisdictional Limits

Subject to the Territorial Limits clause and to the extent permitted by law, coverage extends to Claims or Investigations anywhere in the world, except for Claims or Investigations:

(a) involving the application of the law of the United States of America or the Dominion of Canada or their territories or protectorates; or

(b) brought in a court of law in the United States of America or the Dominion of Canada or their territories or protectorates; or

(c) arising out of the enforcement of any judgement, order or award made in any court of law in the United States of America or the Dominion of Canada or their territories or protectorates.

5.5 Policy Construction and Interpretation

In this Policy, unless the context otherwise requires:

(a) the singular includes the plural and vice versa; and

(b) headings are merely descriptive and not to aid interpretation; and

(c) if a word or expression is given a definite meaning, any part of speech or other grammatical form of that word or phrase has a corresponding meaning; and

(d) references to an amount of money are references to that amount in Australian dollars unless otherwise provided; and

(e) bolded words used in this Policy have the meanings set out in Section 6 (Definitions and Interpretation).

5.6 Retroactive Date

If a Retroactive Date is specified, this Policy will not cover, and does not apply to, any Claim or Investigation where the Professional Services leading to such Claim or Investigation were or were alleged to have been provided or required to be provided, in whole or in part, before the Retroactive Date.

5.7 Authorisation

The first named Firm on the Schedule agrees to act on behalf of all Insureds with respect to:

(a) the giving and receiving of all notices given under this Policy including as to cancellation; and

(b) the payment of premiums and the receiving of any return premiums that may become due under this Policy; and

(c) the negotiation, agreement to and acceptance of endorsements; and

(d) the giving or receiving of any notice provided for in this Policy; and

(e) the receipt of all amounts payable by Us under this Policy.

Each Insured agrees that the first named Firm shall act on its or their behalf and agrees to be bound by all acts or omissions of the first named Firm.


5.8 Cancellation

(a) The Insureds may cancel this Policy only by the first named Firm on the Schedule giving 30 days written notice to Us. If there are no matters notified to Us under this Policy, We will allow a refund of unearned premium calculated in accordance with its customary short-term rates.

(b) We may cancel this Policy by written notice given to the Insured and in accordance with the requirements of the Insurance Contracts Act (Cth) 1984. If there are no matters notified to Us under this Policy, We will allow a refund of unearned premium calculated in proportion to the unexpired time on risk but such refund will never be greater than 75% of the premium.

5.9 Governing Law

This Policy is governed by, and interpreted in accordance with, the laws of the Commonwealth of Australia and the State of New South Wales Disputes relating to interpretation of this Policy must be submitted to the exclusive jurisdiction of the Courts of New South Wales.

5.10 Other Insurance

(a) If any Loss arising from a Claim or Investigation is insured under any other policy (whether such other insurance is stated to be primary, contributory, excess, contingent or otherwise) entered into by or effected on behalf of the Insured, or under which the Insured is a beneficiary, whether prior or current, then to the extent permitted by the Insurance Contracts Act 1984 (Cth), this Policy, subject to its limitations, conditions, provisions and other terms, will only cover Loss to the extent that the amount of such Loss is in excess of the amount of such other insurance.

(b) Clause 6.10 (a) above does not apply to such other insurance that is written specifically as excess insurance over the Limit of Liability provided in this Policy.

5.11 Severability

The Proposal shall be construed as a separate proposal by each natural person Insured. With respect to the statements and particulars in the Proposal, no fact pertaining to or information possessed by any natural person Insured shall be imputed to any other natural person Insured to determine whether cover is available for such other natural person Insured.

For the purposes of determining coverage to the Firm under this Policy:

(a) statements made or knowledge possessed by any past, present or future chief executive officer, chief financial officer, chief operating officer, managing director, chairman, managing partner, company secretary, chief legal officer or other senior personnel concerned in the management or control of that part of the Business relevant to the act, error or omission the subject of the Claim; and/or

(b) imputation which arises by operation of law

will be imputed to such Firm.

5.12 Confidentiality

The Insured must not disclose the terms, the nature or the Limit of Liability or the premium payable under this Policy, to any third party, including disclosure in the Firm’s annual report if applicable, except where:

(a) We provide written consent); or

(b) disclosure is required by law.

5.13 GST

Where We make payment under this Policy:

(a) the amount of the payment will be reduced by the amount of any input tax credit to which the Insured is or may be entitled to claim; and

(b) the Insured must inform Us of the extent of any entitlement to an input tax credit for the premium at or before the time a claim is made under this Policy.

If an Insured makes a claim under this Policy, it must inform the Us of its Australian Business Number if it has one.

The amount of the applicable Excess is calculated after deduction of the amount of any input tax credit that the Insured is or may be entitled to claim.


6. Definitions & Interpretation

Act of Terrorism means: (a) an act, including but not limited to, the use of force, violence and/or the threat thereof, by any person or group(s) of persons, whether acting alone, on behalf of, or in connection with any organisation(s) or government(s), which from its nature or context is done for, or in connection with, political, religious, ideological, ethnic or similar purposes or reasons including the intention to influence any government and/or to put the public, or any section of the public, in fear; or

(b) any action taken in controlling, preventing, suppressing or in any way relating to anything in (a) above regardless of any other cause or event contributing concurrently or in any other sequence to the loss.

Business means the activities of the Firm set out in the Schedule.

Circumstance means any fact, matter or circumstance which gives rise to a Claim or Investigation or has the potential to give rise to a Claim or Investigation.

Claim means

(a) the receipt by the Insured of any written demand for civil compensation or civil damages or non-monetary civil relief made against the Insured; or

(b) any originating legal or arbitral process, cross claim, counterclaim or third party notice served upon the Insured which contains a demand made against the Insured for civil compensation or civil damages or non-monetary civil relief

arising out of the conduct of (including a failure to perform) the Professional Services.

Defence Costs means reasonable legal and other professional fees, costs and expenses incurred by and with the prior written consent of Us, not to be unreasonably withheld or delayed, that are necessary to defend or appeal a covered Claim.

Documents means documents of any nature except money, negotiable instruments, bearer bonds or coupons, stamps, bank or currency notes or any other form of negotiable instrument, legally owned by a client of the Insured.

Employee means (a) each person who was, is or becomes employed by the Firm in the ordinary course of the Business and who is paid by the Firm by way of salary or wages; or

(b) a volunteer working without fee or reward in the ordinary course of the Business,

provided that the performance of whose duties is subject to the direction and control of the Firm.

Excess means the amount specified in the Schedule.

Firm means

the entity, partnership or company specified in the Schedule and any Subsidiary. Where two or more entities are specified, the Firm means each of them, unless the context otherwise requires.

Insolvency Event means

(a) The appointment of an administrator, special manager, provisional liquidator or liquidator to the Firm; or


(b) Where (except for the purpose of a solvent reconstruction or amalgamation) an application or an order is made, proceedings are commenced, a resolution is passed or proposed in a notice of meeting, an application to a court or other steps are taken for:

(i) the winding up, dissolution or administration of the Firm; or

(ii) the Firm entering into an arrangement, amalgamation, compromise, composition or reconstruction with or assignment for the benefit of its creditors or a class of creditors.

Insured means (a) the Firm; and (b) each Principal, but only in respect of work performed in the capacity of

a Principal of the Firm; and (c) each Employee, but only in respect of work performed in the capacity

of an Employee of the Firm; and (d) the estate, heirs or legal representatives of each deceased or legally

incapacitated Principal or Employee but only to the extent that such Principal or Employee would have been covered under this Policy in the absence of such death or legal incapacity, as the case may be, and only in respect of work performed by the Principal or Employee in their capacity as a Principal or Employee of the Firm; and

(e) the lawful spouse or domestic partner of each Principal or Employee but only to the extent that such Principal or Employee would have been covered under this Policy, as the case may be, and only in respect of work performed by the Principal or Employee in their capacity as a Principal or Employee of the Firm.

Intellectual Property means

all present and future rights conferred by statute, common law or equity in or in relation to copyright, trade-marks, designs, patents, circuit layouts, plant varieties, company, business and domain names and inventions.

Investigation means a formal or official investigation, examination or inquiry before any duly constituted court or tribunal or other body having the power to compel the attendances of witnesses (including any hearing before any disciplinary body of any professional institution or association) against any Insured arising out of Professional Services other than any industry-wide investigation and/or routine supervision, inspection, compliance or similar review.

Joint Venture means any enterprise carried on in common by the Firm with a third party or parties (not being an Insured under this Policy).

Legal Representation Expenses means

the reasonable legal costs or related professional fees incurred by or on behalf of an Insured (but not including any remuneration of any Principal or Employee) with the prior written consent of Us, whose consent is not to be unreasonably withheld or delayed, directly in connection with an Insured co-operating with or being represented at an Investigation.

Loss means all amounts which an Insured becomes legally obligated to pay in respect of a Claim (including but not limited to any damages, judgments entered or settlements reached) and Defence Costs.

Loss does not include: (a) aggravated, punitive or exemplary damages; or (b) fines or penalties imposed by law (which terms, for the avoidance of

doubt, do not include any civil compensatory orders as covered by


Extension 2.16); or (c) any amount which constitutes reduction, set off or return of fees,

commission or expenses, in whole or in part, paid to or charged by an Insured; or

(d) any internal or overhead expenses of the Firm or the cost of any Insured's time; or

(e) any matters which are uninsurable under any applicable law or where the Claim is made.

Loss of Money means any theft, misappropriation or physical loss, damage or destruction of any money, bearer bond, coupon, stamp, bank note, currency note or negotiable instrument either include:

(a) belonging to the Insured; or

(b) for which the Insured is legally liable.

Period of Insurance means the period specified in the Schedule or such lesser period by which the term of this Policy may have been shortened by reason of cancellation.

Policy means the contract of insurance between Us and the Insured which comprises this policy wording, the Proposal, the Schedule and any endorsement issued by or on behalf of Us varying the policy coverage.

Pollutant means any contaminant, irritant or other matter or substance including but not limited to oil, smoke, vapour, soot, asbestos, asbestos-containing materials, fumes, funghi, acids, alkalis, nuclear or radioactive material, chemicals and waste. Waste includes materials to be recycled, reconditioned or reclaimed.

Pollution means

the actual, alleged or threatened discharge, dispersal, seepage, migration, release or escape of any Pollutant whether in solid, liquid, gas, odour, noise, vibration, electromagnetic radiation, ionising radiation, thermal or other form at any time.

Principal means

where the Firm is or was: (a) a company, each director of that company; and (b) a partnership, each partner of that partnership and each person held

out as a partner; and (c) a sole practitioner, that practitioner,

and includes each former Principal and each person who becomes a Principal during the Period of Insurance.

Professional Services means the Business performed or required to be performed by an Insured for a fee or any other type of consideration.

Proposal means the written proposal and any supplementary proposal including any statements and information contained therein and any material relied upon by Us in issuing cover under this Policy, or any policy issued by Us of which this Policy is a renewal.

ProRisk means

Professional Risk Underwriting Pty Ltd ABN 80 103 953 073 AFSL 308076.

Relative means (b) any legal spouse, domestic partner or companion; or

(c) any parent, or parent of the spouse, domestic partner or companion; or


(d) any sibling or child.

Retroactive Date means the date specified in the Schedule.

Schedule means

the schedule issued to the Firm with this Policy or any subsequent or amended version of that schedule.

Subsidiary means

any entity:

(d) over which the Firm is in a position to exercise actual direction and control; or

(e) which is deemed to be a subsidiary of the Firm by virtue of any applicable legislation or law.

Underwriters means

certain Underwriters at Lloyd’s participating in this contract of insurance.

Us and We means

ProRisk on behalf of Underwriters.

You and Your means the person or entity named as the Insured in the Schedule.